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Michal on the idea of a tax on salaries: the final decision will be made by the government

Михал об идее налога c зарплат: окончательное решение будет примать правительство

Commenting on Finance Minister Jürgen Ligi's idea of a tax on wages, Prime Minister Christen Michal (Reform Party) said that the discussion is about options for implementing the coalition agreement, which the government will decide on, writes ERR. Prime Minister Kristen Michal. Prime Minister Kristen Michal. Photo: Madis Veltman

Commenting on Finance Minister Jürgen Ligi's idea of a tax on wages, Prime Minister Christen Michal (Reform Party) said that the discussion was about options for implementing the coalition agreement, which the government would decide on, writes ERR .

"The principle of the temporary broad security tax is to cover the increased security costs in Estonia in a way that everyone contributes, as security concerns everyone equally. The task of the Minister of Finance and the ministry is to prepare calculations for the cuts in the public sector and the introduction of the temporary security tax needed to cover security costs," Michal told ERR.

"The Finance Minister will present budget options, analyses and economic forecasts to the government, and the government will make decisions. Therefore, before making a decision, it is worth having a discussion: various bases for applying the security tax to enterprises have been proposed, the Finance Ministry will calculate them, the Minister will present all relevant options to the government, and the government will make a decision," Michal noted.

Read more on the ERR news portal.

On Saturday, August 17, Postimees already wrote that Finance Minister Jürgen Ligi (Reform Party) stated in an interview with Äripäev that instead of the currently proposed two percent advance tax on corporate profits, it would be more appropriate to introduce an additional tax on wages.

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